Update on US Proceedings

April 19, 2017

On Friday, April 14, 2017, Judge Cooper of the U.S. District Court for the District of Columbia issued his final judgment in favor of FinCEN, upholding its Second Final Rule and denying reconsideration that FBME Bank had sought on certain points. To read, press here. At the same time, Judge Cooper lifted his preexisting stay and denied a full stay pending appeal. To read, press here. Consistent with its rights to seek appellate relief from the U.S. Court of Appeals for the D.C. Circuit, FBME then sought and obtained from Judge Cooper on Monday, April 17, a temporary, administrative stay of the Second Final Rule that will remain in place for at least 14 days (i.e., through Monday, May 1); that temporary stay ensures that the D.C. Circuit has time and opportunity to consider FBME’s stay request. To read, press here. Also on Monday, April 17, FBME initiated its appeal to the D.C. Circuit, press here, and filed an emergency motion asking the D.C. Circuit to reinstate a full stay pending appeal; if granted, such a stay would remain in place and protect FBME against implementation of the Second Final Rule until its appeal is resolved. To read, press here. The D.C. Circuit has ordered FinCEN to respond to FBME’s request for emergency stay by this Friday, April 21, and FBME to reply by this Monday, April 24, such that briefing will be completed a week before the temporary stay expires. To read, press here. FBME will report further on developments surrounding its stay request at the D.C. Circuit.